LINCOLN PIPESTONE RURAL WATER SYSTEM

East Highway 14, P.O. Box 188, Lake Benton, MN 56149

                (507) 368-4248 or (800) 462-0309        fax (507) 368-4573 email:  lprw@itctel.com

 

 

 

 

 

 

MEETING MINUTES

October 30, 2006

 

The regular scheduled meeting of the Lincoln Pipestone Rural Water (LPRW) System Board of Commissioners was held at the LPRW office in Lake Benton on Monday, October 30, 2006 starting at 7:00 p.m.  Chairman Jerry Lonneman called the meeting to order with Commissioners Ken Buysse, Earl DeWilde, Frank Engels, Leonard Swenson, Bill Ufkin, Henry Van Dyke, and Joe Weber present. Commissioners Mike Brunner and Rod Spronk were absent. Also present were Board Attorney, Ron Schramel; DGR Engineer, Darin Schriever; Field Superintendents, Don Drietz and Tom Muller; and CEO, Dennis Healy.

 

Agenda:  M/S/P Van Dyke/Engels to approve the Agenda as presented.

 

Minutes:  M/S/P Ufkin/Swenson to approve the minutes of the September 18, 2006 Regular Board meeting.

 

Treasurer's Report:  M/S/P Buysse/Engels to approve the Treasurer’s report as presented.

 

Bills:  M/S/P Weber/Van Dyke to approve the following bills for payment:

·   DeWild Grant Reckert and Associates Company: General Services #63 = $2,467.00; 2006 System Improvements - Pump Stations – ppe #5 = $7,200.10

·   McDonald, Gudmestad & Schramel: General Legal Services = $653.70

·   Liesch Associates: 2006 Exploration #5, 6 & 7 = $1,636.00; Adrian Well #7 – ppe #14 & 15 = $2913.49

·   US Bank: Crossover Refunding Bonds of 1997 = $150,075.00         

 

 

Attorney’s Report: Ron Schramel reviewed the procedure for filling the vacant Board seat created by the untimely passing of Commissioner Simonson.  M/S/P DeWilde/Weber to appoint Commissioners Buysse, Engels, Ufkin and Swenson to a Search Committee to seek qualified candidates to fill the vacant seat in Yellow Medicine County.  Schramel discussed the assessment procedure for new hookups.

 

 

Engineer’s Report: Darin Schriever presented an update on the progress of the Pump Station Upgrades.  M/S/P Ufkin/Weber to authorize US Filter Control Systems to proceed with the submittal drawing phase of the project for an amount not to exceed $25,000, and to authorize advertisement for bids for the project.  Other activities were also reviewed and discussed.

 

 

2006 Expansion Project:

•  North Expansion:  Healy reported that work is proceeding, and should be completed before the end of the construction season.

 

 

Regional Water Development:

•  Adrian Well Development:  Healy reported that Adrian well #7 will be completed by Traut Well Company for $10,850.  The other quote was from Ervin Well Company for $15,500.  The work is scheduled to be completed by November 24th.

•  New Water Source Development:  Exploration in the Lake Wilson area did not provide the results hoped for, and exploration will continue in other areas.  Preliminary discussions are also underway with Osceola County RWS to explore the purchase of water from that system.

 

 

Field Superintendents’ Report: Tom Muller reported that operations are going smoothly.

 

 

CEO’s Report:

·   The Minnesota Lewis & Clark Joint Powers Board met in Luverne at 10:00 a.m. on Thursday, September 21st and they approved the LPRW request to apply for state funds to complete various projects to match the state share of the Lewis & Clark project.  M/S/P Engels/Buysse to adopt the following Resolution:

 

RESOLUTION AUTHORIZING LINCOLN PIPESTONE RURAL WATER SYSTEM TO SUBMIT INFORMATION TO THE MINNESOTA PUBLIC FACILITIES AUTHORITY AND TO ENTER INTO A GRANT AGREEMENT FOR PURPOSES OF RECEIVING REIMBURSEMENT FOR COSTS INCURRED IN CONNECTION WITH THE LEWIS AND CLARK RURAL WATER SYSTEM, INC.

 

                                               

        WHEREAS, pursuant to Minnesota Laws of 2006, Chapter 258, Section 21, Subdivision 15, the 2006 Legislature appropriated $3,282,000 to the Minnesota Public Facilities Authority for grants to the City of Luverne, City of Worthington Public Utilities, Lincoln Pipestone Rural Water System and Rock County Rural Water System to acquire land, predesign, design, construct, furnish, and equip one or more water transmission and storage facilities to accommodate the connection with the Lewis and Clark Rural Water System, Inc. that will serve southwestern Minnesota; and

 

        WHEREAS, the state grant appropriation is available only to the extent matched by at least $1 of local money paid to the Lewis and Clark Rural Water System, Inc. for each $1 of state money to be used to reimburse costs incurred on eligible projects; and

 

        WHEREAS, the grants must be awarded to projects approved by the Lewis and Clark Joint Powers Board; and

 

        WHEREAS, on September 21, 2006, the Lewis and Clark Joint Powers Board adopted Resolution #4-2006, authorizing Lincoln Pipestone Rural Water System to enter into a grant agreement with the Minnesota Public Facilities Authority for reimbursement of eligible costs incurred to accommodate the connection with the Lewis and Clark Rural Water System, Inc.; and

 

        WHEREAS, to receive this money, Lincoln Pipestone Rural Water System must submit required information and enter into a grant agreement with the Minnesota Public Facilities Authority; and

 

        WHEREAS, Lincoln Pipestone Rural Water System has the legal authority to apply for the grant, and the financial, technical and managerial capacity to ensure proper construction, operation, and maintenance of the project for its design life; and

 

        NOW, THEREFORE, BE IT:

 

        RESOLVED, by the Board of Commissioners, the governing body of Lincoln Pipestone Rural Water System, that Lincoln Pipestone Rural Water System is authorized to submit required information and enter into a grant agreement with the State of Minnesota for reimbursement of eligible project costs incurred to accommodate the connection with the Lewis and Clark Rural Water System, Inc. as approved by the Lewis and Clark Joint Powers Board; and

 

        FURTHER RESOLVED, that Lincoln Pipestone Rural Water System hereby expresses its official intent to use at least a portion of the proceeds of this grant as reimbursement for construction expenditures made prior to the issuance of the grant.

 

The Resolution passed with all members present voting in favor.

 

Healy presented a letter to Lewis & Clark Rural Water System requesting a second connection to the Lewis & Clark line.  M/S/P Swenson/Van Dyke to authorize Healy to send the letter to Lewis & Clark Rural Water System requesting a second connection to the Lewis & Clark line.

 

 

 

 

•   New Hookups:  Healy presented 9 requests for new hookups and 1 request for a supplemental water supply hookup for Board consideration.  M/S/P Swenson/Van Dyke to approve the 9 new hookups, and to deny a supplemental water supply hookup request because it is located south of the Chandler tower and there may not be adequate water during peak usage.

·   Healy reported that he is working on a permanent CREP II easement north of the Holland well field.

 

Committee Reports: The Board set budget meetings for 11:00 and 1:00 on Monday, November 20th. 

Executive Committee: No report.

Water Resources and Equipment Committee: No report. 

Personnel Committee: No report.

Budget & Finance Committee: No report.

Minnesota Rural Water Association, Board Representative: Leonard Swenson reported on MRWA activities.

Minnesota Governmental Agency Finance Group, Board Representative: Bill Ufkin reported on MGAFG activities, and he noted that LPRW should issue bonds this year if possible.

 

Other:

·   Healy presented information on the Minnesota Department of Health “Service Connection Fee Increase” and he recommended that the fee be added to the monthly minimum charge rather than collect it in a single payment as in the past.  He felt there would be less confusion that way.  The fee is $6.36 per account per year or $0.53 per month.  M/S/P Van Dyke/Buysse to authorize the staff to add the MDH Service Connection Fee to the monthly minimum charge in the future.  Effective with bills paid July 1, 2007 the monthly minimum charge for retail customers will be $16.50 + $0.53 = $17.03.

 

·   At 8:30 p.m. Jerry Lonneman asked the Board to go into executive session to discuss personnel matters.  M/S/P Weber/Engels to go into executive session to discuss personnel matters. At 8:50 p.m. the Board went out of executive session.  M/S/P Ufkin/Engels to go out executive session and reopen the meeting.  The Board provided the CEO with salary guidance for budget purposes.

 

 

Adjournment:  M/S/P Engels/Van Dyke to adjourn the meeting at 9:00 p.m.  The next Regular Board meeting will be Monday, November 27, 2006 at 10:00 a.m.

 

 

 

 

 

______________________________________________

                                  Earl DeWilde, Secretary